About Defra

Speech by Phil Woolas MP at the Ecobuild Conference, London - 28 February 2008

Thank you. It’s great to be here and have the opportunity to speak to you today.

We are committed to making new houses zero carbon by 2016. We’re looking to do this in three stages. We’re looking for an improvement in performance of a quarter by 2010. Of nearly a half by 2013 and zero carbon in 2016.

To oil the wheels so to speak the Chancellor has already announced a stamp duty exemption for new homes that are zero carbon. This is due to run until 2012 and should be worth up to £15,000 per property.

Elsewhere we’ve published a voluntary Code for Sustainable Homes which sets out nine key areas where house builders need to think about improving sustainability of the houses they are building.

But it’s not just those people who are building new homes that we are looking to help become more environmentally aware.

In partnership with the Energy Saving Trust we are setting up a one stop shop for consumers to receive a wide range of impartial advice on changing their lifestyles to a greener hue. This green audit, called the Green Homes Service, will be rolled out across the country through a network of regional centres.

Advice from this service will include information about alternative energy sources. Sources like microgeneration. We believe this type of technology will have a significant role to play if we are  to meet our goal of cutting CO2 emissions by over half by 2050.

Before we can get to the point where microgeneration becomes a realistic alternative energy source for the householder, local community or business there are a number of hurdles that need to be negotiated.

Raising awareness is important – that’s what the Green Homes Service is set to address.

Upfront costs are at the moment a stumbling block for this type of technology. That’s why it’s been incorporated into the Low Carbon Buildings Programme which will run until 2009 and provides £86m to help with these costs. This plan aims to use available funds to help achieve economies of scale, and demonstrate the potential of combining energy efficiency measures with microgeneration in a range of buildings.

The Government has already supported the installation of microgeneration technologies in over 100 schools around the country. I’m hoping this will demonstrate that microgeneration technologies can play an important role not just for the householder, but in community centres, in hospitals, in social housing and in education.

This example of microgeneration I think brings into focus the types of projects that need to establish themselves to reduce the carbon emissions from the electricity and heat we use.  It’s important that we look at this issue imaginatively. Decentralised, or distributed, energy sources could lead to a transformation in the way we power communities.  Instead of all our energy being generated remotely, more will be produced and supplied locally.  A more community-based energy system could also lead to greater individual awareness of energy issues, driving a change in social attitudes and, in turn, more efficient use of our energy resources. We believe that distributed energy will have an important role to play in our future energy mix and in building sustainable communities.

As I’ve already mentioned - all new homes must be zero carbon by 2016. This will mean a major expansion of decentralised energy, and has been reinforced by the new planning guidance on climate change published in December last year.

The guidance looks to underpin the principle of the sustainable development within the planning process while at the same time delivering on the protection and enhancement of the environment.

It sets out how spatial planning can help reduce emissions,  stabilise climate change and take into account the unavoidable consequences of our changing climate.

The new guidance will require planners to consider the implications for carbon emissions of new developments. It will require them to look at issues that maximise energy efficiency; deliver low carbon energy sources and consider their new build in a wider context like carbon emissions and transport.

On another front we are looking to promote the benefits of renewable materials and technologies in the construction industry through our Renewable Fuels and Materials Programme.  

Here I believe there are clear benefits in promoting these type of materials certainly in terms of sustainability and environmental protection. For instance timber frame construction materials and hemp and lime blocks are, in many instances, a good alternative to the traditional concrete slab or brick.

These materials have other benefits too. They can help with carbon savings by using less energy when being produced. This has the knock-on effect of using less embodied  energy in the building throughout its whole lifecycle.  Many renewable construction and insulation materials have also been shown to have impressive thermal insulation properties which, together with clever design, can reduce the need for artificial heating and cooling in a building.

All this work has the potential to make a substantial contribution to meeting our climate change targets. This is one of the reasons that my Department is putting a lot of effort into promoting central government’s timber procurement policy to the wider public sector. Public sector demand for timber accounts for up to 40% of the UK market, and it is vital that we set an example by buying legal and sustainable products. Timber is a renewable commodity, and its use could contribute to our sustainability and climate change objectives, providing it is produced responsibly.

Construction and new builds must play a role in achieving sustainability, but there are other areas where energy savings can be made. Areas like the renewable heat sector. At the moment this industry is small but it is growing. Currently the sector accounts for less than one per cent of UK heat output. But the potential is there for a much bigger contribution to our renewable heat targets in 2020.

I think the best opportunities for this technology lies off the gas grid where biomass and heat pumps are competitive with the likes of oil, electricity and solid fuel.

Although we are starting from a relatively low base its important to emphasise that this is not a Cinderella industry. Elsewhere in Europe it has established itself as a mainstream industry.

That said there are still a range of barriers that need to be tackled to strengthen this sector. It’s important that robust supply chains are established. And that we raise awareness of this type of technology.

Here the potential market is massive.

Currently the UK’s construction industry is worth £100 billion per annum. It accounts for 8% of our GDP. And it employs over 2 million people. All of whom are either involved with new builds, repairs or improvements.

Globally the construction industry accounts for around 10% of the world’s economy and a quarter of its raw materials.

In partnership with other Whitehall departments we are developing a sustainable Construction strategy for the industry. We’re looking for a step change in the sustainability of the industry. We recognise that we can not meet our declared environmental targets without dramatically reducing the environmental impacts of buildings. We are looking for a year on year improvement that dovetails in with our environmental, economic and social goals whilst at the same time improving the international competitiveness of the industry.

This Strategy is unique. It’s a joint industry and government project which brings together policy initiatives and industry programmes that sets a range of targets and actions to be taken by both government and industry to ensure its goals are achieved. The aim is to bring as much certainty and clarity to the industry to allow them the time and the confidence to innovate and invest with some degree of certainty.

We hope it will support the development of a committed, skilled and adaptable workforce. Which will increase efficiency that will focus on resource and waste management. Reducing carbon footprint activities within the industry. Whilst at the same time creating a safer industry by improving skills, boosting numbers of workers taking part in training programmes.

The strategy will be run in parallel with a programme of work in the public sector. This is in recognition of the fact that local and national government is responsible for nearly a half of UK construction’s activity. And provides us with an ideal opportunity to lead by example and demonstrate that sustainability can be at the heart of construction sector.

The response to the strategy consultation document has been broadly positive. An analysis of the responses will be published shortly.

Page published: 28 February 2008

Department for Environment, Food and Rural Affairs